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Industrial parks see falling investment
Total investment capital in industrial parks and export processing zones reached US$202.29 million as of June 10, a drop of 38.35 per cent compared to the same period last year, according to the HCM City Export Processing and Industrial Zones Authority (HEPZA).
Of that amount, FDI capital was $75.84 million, a drop of 59.45 per cent over the same period last year. There were eight newly registered FDI projects worth $23.03 million.
Domestic investment capital was estimated at $126.45 million, a fall of 10.39 per cent.
The drop in investment capital was due mostly to the strained global and local economies, which affected factory activity in industrial parks and export processing zones.
So far this year, 90 projects have either been suspended or have stopped operations or decreased capacity. This was due mostly to capital difficulties, a drop in orders and an inability to find new markets.
Of that number, 28 of the projects were foreign-direct invested, and the rest were domestic businesses.
According to the management board of HEPZA, the number of projects that have had difficulties for the first half of the year equalled the total number of projects that had stopped over the 20 years of establishment of HCM City IPs and EPZs
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